Krugman's Hot Money

Paul Krugman has a column declaring that "Right now, the bad old days when it wasn't that easy to move lots of money across borders are looking pretty good."

"Unrestricted movement of capital is looking more and more like a failed experiment," he writes, warning of how foreign money can feed a bubble and then lead to a "nasty hangover" after the bubble bursts.

Professor Krugman may want to be a little more aware of his own situation; according to the latest proxy statement from the New York Times Company, 17% of that firm's outstanding Class A stock is owned by Mexican billionaire Carlos Slim Helu, and an additional 7.8% is owned by Contrarius Investment Management Limited, which is based in Jersey in the Channel Islands.

Failed experiment, indeed.

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